Japan and the European Union signed a Memoranda of Cooperation to advance connectivity, including the development of subsea cables in the Arctic.
Once established, the operation of the subsea cables is slated for 2026. Subsidiaries of Japanese trading corporation Marubeni and Finnish state-owned companies are expected to participate in the project.
Currently 1.4 million kilometers of metal-encased fiber spans across the world’s oceans, speeding internet traffic around the globe. More than US$10 trillion worth of financial transactions are transmitted via these cables every day, according to TeleGeography, a consultancy for the sector.
The supply and installation of these cables are dominated by companies from Japan, the U.S., and France. Japan currently hosts 20 international landing stations, including ten that link to other locations across Asia.
Japan is planning to establish new cable bases in Hokkaido and Kyushu areas and divert the highly concentrated areas of Boso and Shima peninsulas in Chiba and Mie prefectures. This is in line with Japan’s decentralization policy in proposing a subsidy program to establish data centers in Hokkaido and Kyushu.
Last year, the Japanese government established a US$ 440 million fund for building more stations along its eastern Pacific Ocean coastlines as well as data centers in rural areas. It sees the capacity of the lines linking Japan and foreign countries to increase by 15 to 30 times in the span of a decade to prepare for the expansion of artificial intelligence technology.
